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The "Shocking" Buying Spree Of America's Mysterious Third Largest Treasury Holder Ramps Higher
When we reported last month that in a shocking twist, "Belgium" holdings of Treasurys had soared by a massive amount in the past three months, making the tiny country the third largest holder of US paper, our Belgian readers took offsense alleging it is impossible that Belgium itself could be buying all this paper, explaining it was all Euroclear. Well, yes: we know and noted that, which is why those same readers probably should have actually read the part in the post which said: "our question is: just who is Belgium being used as a front for?
Recall that for years, the "UK" line item on TIC data was simply offshore accounts transaction on behalf of China. Of course, since China hasn't added any net US paper holdings in the past year, the UK, and China, are both irrelevant in the grand scheme of things. "
So yes, to clarify for our trigger-happy Belgian (non) readers: it is quite clear that Belgium itself is not the buyer. What is not clear is who the mysterious buyer using Belgium as a front is. Because that same "buyer", who to further explain is not China, just bought another whopping $31 billion in Treasurys in February, bringing the "Belgian" total to a record $341.2 billion, cementing "it", or rather whoever the mysterious name behind the Euroclear buying rampage is, as the third largest holder of US Treasurys, well above the hedge fund buying community, also known as Caribbean Banking Centers, which held $300 billion in March.
In summary: someone, unclear who, operating through Belgium and most likely the Euroclear service (possible but unconfirmed), has added a record $141 billion in Treasurys since December, or the month in which Bernanke announced the start of the Taper, bringing the host's total to an unprecedented $341 billion!
Also of note: Chinese holdings of US Paper dropped by $2.7 billion to $1273 billion, offset by Japan's $9 billlion increase in holdings to $1210 billion, as the convergence between the two countries resumes.
One thing that is certain: the mystery buyer is not Russia, which in February, or just as the Ukraine conflict was starting, sold another $6 billion, bringing the Russian total to $126 billion, the lowest since 2011, and the biggest annual drop, -24%, in holdings in history.
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its my mate gary, panic over.
nothing is as "shocking" as the spike in the last hour of open trading on the NYSE.
ho-lee-sheet
Yeah, after Belgium, it will be Netherlands for a few months, then it will be Austria for a few months and this shit show continues till everyone is stacked with worthless treasuries and you know what happens after that.
Its the Fed! ...Giving itself a good'ol reach around.
I believe it was Casey Research who wrote it was simply Russia moving custodial services from the US to Belgium to avoid any potential problems.
Of course it's the Fed..buying with printed money.....what scam artists they are...special place in hell for all of them from the last 100 years
It's probably Putin laying the ground for his next act of Western humiliation.
This country is a fucking joke
Terrrrrrrrrrrist!!!
shell games... endless entertainment.
WB7 needs a pic of a Yellen in Belgian clothing.
Hey, it's Tuesday... it must be Belgium!
It's the ECB.
They buy our bonds and we buy the Greek and Italian bonds and we all get to sing a happy song.
Phantom buyers for phoney money
Belgium is the new
Pirates of the CaribbeanBelgium.....what a country.
They drive pickup trucks and everyone has two wives.....even the women.
Isn't it obvious that this is Japan selling freely minted Yen and buying USD?
The Fed is tapering and Abenomics is replacing QE as the spigot of global purchasing errosion.
You know things are bad when America has to secretly buy bonds from itself under assumed names to keep the farce going and the money rolling in
Researching...
Banks in Belgium...
Europabank...
Founded by International bank of Washington... which...
Controls Liberian shipping registry...
Kennedy...wrote new regs trying to remove Liberian registry tax exemptions...
IBW founded by old MIC...
http://www.relbanks.com/europe/belgium
http://www.globalsecurity.org/military/world/liberia/registry.htm
http://jfkmurdersolved.com/jfkwhy.htm
http://iowabusinesshalloffame.com/inductees/olmsted-georgeh.html
etc.
Oh, I dunno. Rothcschild central bankers just mixing up ownership of the United States while they still can, I suppose...
HAHA...Yellen in lederhosen :P
Cheese smarts..
341 Billion here...341 Billion there..
Pretty soon you are talking about real blankfein money.
and "Yellen in lederhosen" ??
I can never dream of septemberfest hops again.
The Arctic...perhaps Alaska? He has 3 years of utter incompetence left.
Ok Casey research theory
Russia protecting their precious treasuries ?
End game is ?
I've read recently that this bond buying is by the ECB and attributed to Belgium since Brussels is the capital of the EU.
....and funded directly by a country called Yellgium
I love open transparent financial markets!
....just remember in an open transparent market the first to be terminated are those that know otherwise and are willing to speak out
keep your nail gun close and only let your friends use it
I probably should not have loaded my nail gun with +P nails...
I would never put personal protection loads in my concealed carry nail gun.
and omi gosh.. now that it occurs to me , it is time for all of us card carrying commie- libs to protest all of the construction sites with those evil carpenters open carrying and slinging 10 gauge nailers in front of God, the world and especially the kids,
we need to get those '.fn bastard constuction weasels.
Hillary, Nancy, Chelsea.. where are you now that we need you?
Friends don't let friends use nailguns.
But.. only you…
Crud.. I couldn’t help myself... :-)
nice rumour. the ECB is based in Frankfurt, Germany. if the ECB would buy USTs directly, it would not be a "mistery buyer". if it would do it indirectly, it would do it through several available channels, including all the national banks that are it's members. yet if it would wish to do it more secretly, it would do it... wait a moment. I'm missing the motive, here. Why should the ECB buy all those USTs?
I think Pladizow (quoted from Casey Research) has it correctly: it's eastern money, from Russia or China or both. and EuroClear is a growing exchange
meanwhile it could be the FED, in order to offset the tapering
the EU has no official capital, btw, just seats of institutions, mostly in Brussels, but also in Strasbourg, Frankfurt, etc.
stop thinking of the EU as "a copy of the US", it isn't, except in the most disinformative propaganda from both eurofederalists and euroskeptics
I'd say it's the EU buying. finally paying back the Fed for most of the bailout money that went over in 09.
European collateral sucks. They need treasuries as collateral
..."meanwhile it could be the FED, in order to offset the tapering"..
This is my guess..
this way the foolish americans (and the rest of the fools who remain being fooled) will actually believe them when they say they are tapering.
Personally I think theres more money goin around than that 55bn (or whatev they "say") its tapered down to.
But then, ..who the FLlCK am I?
meanwhile it could be the FED....
Ghordius
ding...ding..ding......we have a winna
and what exactly is the ECB using to buy all these? It's Yellen with Belgium as a proxy
"But the U.S. government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost. By increasing the number of U.S. dollars in circulation, or even by credibly threatening to do so, the U.S. government can also reduce the value of a dollar in terms of goods and services, which is equivalent to raising the prices in dollars of those goods and services. We conclude that, under a paper-money system, a determined government can always generate higher spending and hence positive inflation."
--Ben Diocletian Bernankodus
Just replace U.S. with EU/ECB, and dollars with Euros, and U.S. Government with EU Committee, and then re-quote this as if it were Draghi's own words...
...and...
...Voila!
Pretty simple, Fed does currency swap buying printed euros with printed dollars, ECB buys treasuries with those printed dollars. Fed has more euros on its balance sheet (if they even show up on the balance sheet), ECB has more treasuries on their balance sheet.
Why are they doing it? Because currency swap doesn't count as QE. They can maintain the taper ruse while maintaining a market for treasuries.
I think we'll see more of this. Fed is the only real buyer of treasuries anymore but they have to maintain the illusion other people are buying them, and people will if Fed provides the dollars
Since 08 we've been amazed how far Fed will go maintaining the illusion everything is ok.
It works till it doesn't. Till people get tired of Fed games and abandon the dollar, which is starting to happen now.
I don't buy the theory that the ECB is involved. if you look a bit more closely, you'll find that the whole ECB thing is built for the purpose of not drowning in USTs, from it's inception
the whole premise of this theory is that a secret FX swap is going on between the FED and the ECB. and that is very, very difficult
now, if you were talking about a secret deal between the FED and select eurozone NCBs... that would be a different thing
much more likely: the FED operating through the Bank of England and/or the BIS
In a secret email just released, it now becomes known that the bonds are being bought by the mysterious Nelley Esiuol Tenaj, Sultan of Khazaristan.
When the Bald Beard said a taper would not result in rising rates some of us knew the fix was in.
This is part of it. Audit the Fed.
End the Fed, audit the congress.
Burn the fed, hang the congress. Yeah I mean you too, NSA.
Fuck the Fed, Fuck you bernanke, Fuck you Yellen and fuck the ECB
You must be young to want all that sex.
Especially if he wants to do Yellen. Yikes.
It's Holland bitches, look out below!*
yes sir, rate must head lower or this whole ponzi comes undone. why is this shocking to anyone? usJaPAN
Back door Bennie, eh, I mean back door Yellow
It's more likely the IMF, but then again, they are all owned by the same international banking criminals anyway.
IMF-World Bank-BIS: All part of the hydra head of the racketeering entity known as global fractional reserve fiat "banking," with their constituent "independent" central bank lackeys in tow.
Trivia question: Out of the last 6 "sovereign" nations where war has been waged, or where war is now waging, how many either a) lacked a fractional fiat reserve central bank and/or had a bounty of critical natural resources and/or were located on a critically important geographical point in terms of military value?
I'm confused
Is that a trick question?
/s
That would be the last thousand wars.
Why the hell not! It's all make believe. The Fed can keep this up for another 20 years. I am going to enjoy my life as much as I can before we descend into darkness.
Embrace the dark side. It's cool cause you get to zap people with your fingers. Just don't do it too much or you'll start looking like your grandma.
Lemmie guess. This is a novel aspect of Modern Monetary Theory. Buy your own sovereign debt, pretending to be another sovereign nation(s).
Satan's buying.
QE5 : Splinter Pump.
QE through proxies. Tapering my ass. Yellen isn't tapering anything at all. Just more rigging from the same corrupt establishment.
Tapering one program.....ramping up another.
The FED is trapped In a death spiral. They keep kicking the can with stunts like this but the world has reached peak leverage and bonds by the US is sovereign BUT its still valueless trash. Its a low ranked corp bond masquerading as a senior currency. So of course the kooks at the FED are just jawboning The Taper. They have to buy bonds to keep the yield curve from diving. Debt has almost no value unless you get it for free like the senior banks. Do you want 30 years at almost no yield? For a default-able currency? Notice the Ukraine issue is mostly about MONEY and resources and gas. The US has serious competition from labor rich markets(China),and resource rich(Russia.) The US has neither and just using capital as a weapon
We do have a military that could be used as a weapon as well!
Let's start WW3 over our private banking cartel. Sucks, but at the end of the day, it's all we got other than outright default.
(I choose default, and public hangings in Vichey DC, but it's not my call)
Could be used as a weapon? Military threat has been the only thing keeping air under the big top of the Great American Circus for the past 40 years.
And sad to say that military action is the only option US gov has left, if only to prolong the collapse a few more weeks or days.
This is basically the only thing left underpinning the entire economies of the US and Europe; - both of them buying each other's debts with ever-more farcicle and laughable paper transactions that would even make Enron accountants Arthur Anderson blush.
How long will this carry on?
I guess for as long as the rest of the world allows it.
But I get the feeling their patience is starting to wear thin.
+1000
the end result is more than likely a world war. People tend to not like being scammed. If rates actually were trading without the rigging these US Treasury rates would be flying higher.
The King survives as long as the King's court allows him to wear his crown and rule by fiat.
Why don't they just use the address of the "Black Mailbox" out in Nevada?!
One just has to see who benefits from this transaction. I am pretty sure its not Ukraine.
Drug profits have to be going somewhere .
Belgium. Known for only 2 things: Great food and the EU. The former promoted by the latter because of the huge waste and corruption within the EU.
It seems too much of a coincidence, does it not? The US wants the EU to PRINT< BABY PRINT, but Germany will not allow it. So, perhaps..........
You forgot the beer! Belgium has some amazing local beers. Try'em. You'll be surprised.
Yes, I concede!! Belgium does indeed produce some of the finest beers in the world. Many of which are also used in the cooking. So, maybe, I should re-write my original post to read "Food and drink"??
A Belgian I met assured me the really good ones don't travel. Or maybe that's just an excuse to spend Sunday afternoons at rural pubs.
Belgium is also the center for depraved royalty and politican 'rings' ..unprintable here
QE to infinity. This ponzi scheme needs to keep going or their entire system comes crashing down.
http://jamesturkblog.blogspot.ca/
Belgium is being used to buy up extra treasuries that wouldn't have sold. It's probably the US using Belgium banks as fronts.
Total gold reserves China likely exceed 14000 mt.
http://www.ingoldwetrust.ch/sge-withdrawals-equal-chinese-gold-demand-pa...
ECB. Who else?
Well, maybe Spooky is borrowing from the FED.
Must've been Venezuela. They need Toilet Paper.
Now Kirk...That's funny. I'd give your two "ups" for that if I could.
Fate the Magnificent
"Push the Button, Max"
the Fed is now directly monetizing the debt. duh.
Wait, Bernanke swore before CONgress they would not monitize the debt and we know he wouldn't lie... Oh, nevermind.
People lie.
People apparently lie on TV.
People apparently will also lie to congress, while on TV.
.... I find this simply shocking
"People apparently will also lie to congress, while on TV.
.... I find this simply shocking"
People were reluctant to lie to congress when they were under oath... Too big a chance of perjury charges.
So now they testify without being sworn in.
Shocked I tell you.
http://www.youtube.com/watch?v=SjbPi00k_ME
"when it gets serious you have to lie"
June 3, 2009:
“The Treasury is issuing debt and the central bank is buying it,” Mr. Ryan said. “It gives the alarming impression that the U.S. one day might begin to meet its financial obligations by simply printing money.”
But Mr. Bernanke adamantly denied that would happen. “The Federal Reserve will not monetize the debt,”he said. “Either cuts in spending or increases in taxes will be necessary to stabilize the fiscal situation.”
Read more: http://www.washingtontimes.com/news/2009/jun/04/escalating-debt-threatens-recovery-fed-chief-warns/#ixzz2yyXzuYDQ
Follow us: @washtimes on Twitter
Aliens?
Maybe that's where formerly reserve US dollars that are no longer needed for international trade are going?
The BernankenYellen is using Belgium as a back door QE in order to hide the non-taper taper.
It is rather suspicious that bond interest rates have been going down while the Fed tapers?? The list of problems Americans are gonna have to deal with keeps on multipying..
its not suspicious - its obvious - its expected
Is Fonestar based in Belgium?
Nope, Atlanta.
Nope, Ponoka
I thought he was a shell script.
I thought he was Orkin?
No, but Sudden Debt is.
No, but Bank Guy from Brussels was.
how difficult can it be to unmask who this buyer of worthless fucking US treasury's is????
come on Tyler's...
fucking absurd this shit is...
So there is a conspiracy of silence?
It's the conspiracy of denial.
They can bring down 3 towers with controlled demolition in broad daylight in New York on 9/11, blame it on "terrorist masterminds" and get away with it, they must feel like gods.
....and start 2 WOARS and counting, steal billions of USD's on pallets, crash the world economy and steal trillions of USD's as 1's and 0's and now move on to starting World Woar 3.0 so they can clear some acerage of uneccessary skin bags who use too much oil........and start over with a NWO of master - slave economics.
pretty simple really
Sigh. Same shit every century.
History repeats itself. The only problem is that everytime it repeats itself the price of everything goes up.
It is a fraud, there are none.
The FED just prints money, nobody is actually buying their shit.
It is unaldulterated fraud, would be my guess.
Taper is a fraud because there is o demand to replace the Fed. This backdoor QE, or monetization. The backdoor part is how the FRNs are getting to the buyer.
They keep shooting themselves in the foot and legs, but pretty soon its gonna be a self inflicted shot to the head.. This is gonna be spectacular when all the fraud shatters upon itself..
Either a rogue algo takes out the entire market, or someone leaves something heavy on a keyboard at the fed, and the USD turns into toilet pap$$$$$$$$$$$$$$$$$$$$r. While everyone just stands there going WTF just happened.
Either way if you concentrate power in the hands of fewer and fewer people, eventually a combination of hubris and human error will take the whole system down.
People will then relearn the value of decentralisation.
My God, I didn't realize Belgium was so "wealthy". Who will be buying U.S. debt next?
But I digress, debt buying from the Fed is matching gov spending (direct monetization).
On that note, show me the balance sheet motherfuckers, I don't see any "tapering".
So the US buys Euro debt.
Belgium probably buys Japanese debt.
It's all printed money.
@ LawsofPhysics:
Man, you know better than to question those with the "Almighty Power of the Printing Press". Wealth? What's wealth? Oh yeah, right...that silly barbarous relic, and that black crap that gets pumped from the ground...
We should start a new game, called "Paper, Gold, and Oil". From what I hear, it's really big all over the world, but I have to wonder about the intelligence of people who are betting on Paper?
its not about intelligence - its about power - and right now the paper boys are in power - so who's the dumb ones right now? and who's to say they don't end up winning? no gaurantee they will go down
The paper boys will go down eventually because they have to, because what they're selling has no intrinsic value.
Same way it's always been, since the Chinese invented it hundreds of years ago. Devaluation then collapse.
edit: Actually same way it's always been ever since there was money produced by man, paper or coin, doesn't matter. Ancient Romans are a great example.
Looks to me like they are starting to lose control of this clusterfuck...
One huge Central Bank debt circle-jerk. US Fed takes Euro debt, Japan takes US debt, US also swaps Yen.
Hide the debt by buying each others to create demand for the debt.
One huge game.
I remember when Milken's S&L junk bond issuers held each other's bond and the interest payments ran around the circle..
Ahhh. The good ol' days. Life was more innocent back then.
Financial circle jerk had not yet entered the vocabulary
OK. I think it is obvious that everyone knows this is what is happening. My question, Is there a way to 'calculate' or 'estimate' the timeframe needed to wind this bitch so tight that it pops? We know the game, does anyone know the end game and what it looks like (so some really smart people can crunch the numbers to tell us when this bitch is over)?
Janet, why are you at that terminal? What are you doing to our bank account?
Oh this is an easy one.
It's the greater fool of course.
I think it is the manager of Johnny Onions and the Liver Eaters. Johnny et al have had a very successful world tour and have to invest their rewards.
Every time I read Belgium in this story, I hear Beldar Conehead saying "FRANCE. WE COME FROM FRANCE.".... Now I picture Yellen with a conehead saying "BELGIUM. BELGIUM IS BUYING MASS QUANTITIES.".
Two strangers thinking about the coneheads simultaneously: coincidence or syncronicity? Narfle the garthok!
Its all just a form of a massive check kiting scheme. The supernova from the expanding debt sphere is going to be huge !!!
Supernova, you say, then I expect our future will be very bright.
And then it will collapse into the supermassive black hole that it was all along.
341 billion in treasurys purchased by a country with a GDP of 483 billion. Nope, nothing fishy going on here...
In one month no less...
341 billion is the outstanding amount of debt held.
The actual purchases are the differences between the months. So, since Dec 1 it's 341-201 = $140 billion of US debt purchased by "Belgium" in 3 months.
As one poster above commented, that's quite impressive for a country with annual GDP around $480 billion ;-)
Told you. The FED has committed treason against the United States of America and has combined US budget with Western Europe. So the US and EU both have taxation without representation.
Its criminal. Its illegal. And, the US military needs to intervene.
they will....just now how you'd want them too!
bought and paid for, they are
.Told you. The FED has committed treason against the United States of America and has combined US budget with Western Europe. So the US and EU both have taxation without representation.
Its criminal. Its illegal. And, the US military needs to intervene.
That escalated quickly!
Its the FED and Friends. Shees. Who the frick bought all of the Spanish bonds? Not you, not me. But somebody.
I really hope that hell reserves a place for central bankers, something like the gonad roasting room. Mr. Yellen is welcome there too.
That's right Croak, the Fed is Europe's "BAD BANK". No telling what's really on the "real" Fed balance sheet.
Fate the Magnificent
"Push the Button, Max"
I know. It's the same people buying the Greek, Italian, and Spanish bonds.
ZH with the early calls once again. In a few months, we will read about in the MSM.
341 billion is chump change for a Roth (or any real wealth Giant today) and who knows what negotiated kicker is involved? The term "fire sale" comes to mind.
www.roacheforque.blogspot.com
Not sure why the Belgian readers get pissed, OBVIOUSLY, it is not belgium.
My guess it's the Fed themselves, playing with themselves.
Create, have your euro fed buy it, repeat as necessary.
we are witnessing a Financial Holocaust.
Performed by the Tribe on the American main street.
Yes retard.
SWIFT payment system is based in Belguim and whoever it is probably has a domcilied entity clearing funds there for the buyer.
Small hands....
http://en.wikipedia.org/wiki/Society_for_Worldwide_Interbank_Financial_Telecommunication
So what you are saying is that this could be just a giant paperwork clog in the SWIFT pipeline? Heh. Or maybe the Yakuza was able to finally make a deposit of counterfeits to someone more stupid than the Vatican.
Or Sinaloa has been allowed to launder drug money in exchange for providing intelligence to CIA/DEA/etc.
The durg cartels already have their money laundering operation in full swing. The US banks make a nice packet on that business. Their sock puppet Barry is doing his part by keeping weed a Schedule 1 narcotic and using the police to keep up the price.
a good trade if they were using russian rubbletoes...
:)